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Reducing Energy Costs in Large Factories with Smart Monitoring

Energy Costs

 

Factories and industrial units are some of the UK’s biggest consumers of energy. With production lines, heavy machinery, and around-the-clock operations, it’s no surprise that energy bills represent one of the largest overheads for manufacturers. But with the right monitoring in place, these costs don’t have to be fixed — they can be measured, managed, and reduced.

At Elcomponent, our clients in the manufacturing sector have already made significant savings through the deployment of advanced energy management systems. By monitoring energy usage at departmental and equipment level, they’ve gained the insights needed to cut waste and streamline operations.

Where Factories Use the Most Energy

A typical large factory relies on a wide range of energy-intensive equipment. High-consumption areas often include:

• Production Machinery – Heavy-duty motors, presses, and conveyor systems that run for long shifts.
• Compressed Air Systems – Often one of the largest single energy costs in an industrial environment.
• Heating, Ventilation, and Air Conditioning (HVAC) – Essential for maintaining temperature and air quality but a constant drain on electricity.
• Lighting – Particularly in facilities operating 24/7, where inefficient lighting quickly drives up bills.
• IT and Control Systems – Though smaller by comparison, still contribute to overall usage across shifts.

Without accurate data, it’s difficult for operators to know which of these areas presents the biggest saving opportunity.

How Energy Monitoring Delivers Savings

Elcomponent’s energy monitoring systems allow factories to track consumption down to individual departments or even specific pieces of equipment. This granular insight reveals inefficiencies that would otherwise remain hidden, such as:

• Compressed air leaks wasting thousands of kWh annually.
• Machinery left idling outside production hours.
• HVAC operating on outdated schedules.
• Lighting not aligned with occupancy or daylight hours.

By addressing these issues, clients have collectively reduced energy consumption across their estates, cutting costs while improving sustainability performance.

The Role of Shift Patterns in Energy Costs

In factories where energy consumption cannot be reduced without affecting output, another cost-saving strategy is to look at shift patterns. Moving energy-intensive operations away from peak tariff hours can deliver substantial savings without impacting production volumes.

For example, running high-demand machinery during off-peak hours can reduce unit energy costs significantly. Smart monitoring highlights when and where energy is most expensive, allowing factories to optimise operations accordingly.

A Cost-Saving Exercise All Large Factories Can Adopt

Every large factory or industrial unit has the potential to reduce its energy bills. By combining operational adjustments with insights from a well-designed energy management system, savings can be achieved across every department.

Elcomponent’s clients have demonstrated the power of data-driven decision making — turning energy monitoring into a cost-saving exercise that pays dividends year after year.

Smarter Factories, Lower Costs

Energy will always be a major input cost for manufacturing. But with the right tools in place, businesses can reduce waste, optimise usage, and save money.
Contact Elcomponent today to learn how our energy management systems can help your factory reduce consumption, cut costs, and improve efficiency across your operations.